Correlation Between Hangzhou Coco and Chongqing Brewery
Specify exactly 2 symbols:
By analyzing existing cross correlation between Hangzhou Coco Healthcare and Chongqing Brewery Co, you can compare the effects of market volatilities on Hangzhou Coco and Chongqing Brewery and check how they will diversify away market risk if combined in the same portfolio for a given time horizon. You can also utilize pair trading strategies of matching a long position in Hangzhou Coco with a short position of Chongqing Brewery. Check out your portfolio center. Please also check ongoing floating volatility patterns of Hangzhou Coco and Chongqing Brewery.
Diversification Opportunities for Hangzhou Coco and Chongqing Brewery
0.82 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Hangzhou and Chongqing is 0.82. Overlapping area represents the amount of risk that can be diversified away by holding Hangzhou Coco Healthcare and Chongqing Brewery Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Chongqing Brewery and Hangzhou Coco is a relative statistical measure of the degree to which these equity instruments tend to move together. The correlation coefficient measures the extent to which returns on Hangzhou Coco Healthcare are associated (or correlated) with Chongqing Brewery. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Chongqing Brewery has no effect on the direction of Hangzhou Coco i.e., Hangzhou Coco and Chongqing Brewery go up and down completely randomly.
Pair Corralation between Hangzhou Coco and Chongqing Brewery
Assuming the 90 days trading horizon Hangzhou Coco Healthcare is expected to generate 1.14 times more return on investment than Chongqing Brewery. However, Hangzhou Coco is 1.14 times more volatile than Chongqing Brewery Co. It trades about 0.17 of its potential returns per unit of risk. Chongqing Brewery Co is currently generating about 0.14 per unit of risk. If you would invest 726.00 in Hangzhou Coco Healthcare on September 12, 2024 and sell it today you would earn a total of 269.00 from holding Hangzhou Coco Healthcare or generate 37.05% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Hangzhou Coco Healthcare vs. Chongqing Brewery Co
Performance |
| Timeline |
| Hangzhou Coco Healthcare |
| Chongqing Brewery |
Hangzhou Coco and Chongqing Brewery Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Hangzhou Coco and Chongqing Brewery
The main advantage of trading using opposite Hangzhou Coco and Chongqing Brewery positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Hangzhou Coco position performs unexpectedly, Chongqing Brewery can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Chongqing Brewery will offset losses from the drop in Chongqing Brewery's long position.| Hangzhou Coco vs. Agricultural Bank of | Hangzhou Coco vs. Industrial and Commercial | Hangzhou Coco vs. Bank of China | Hangzhou Coco vs. PetroChina Co Ltd |
| Chongqing Brewery vs. Epoxy Base Electronic | Chongqing Brewery vs. Xinya Electronic Co | Chongqing Brewery vs. Dareway Software Co | Chongqing Brewery vs. Shantou Wanshun Package |
Check out your portfolio center.Note that this page's information should be used as a complementary analysis to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Portfolio Anywhere module to track or share privately all of your investments from the convenience of any device.
Other Complementary Tools
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA | |
| Instant Ratings Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories |